The Formal Letter of Termination is a essential document used in the Philippines when an employer needs to officially end an employment relationship. It must be drafted in strict compliance with the Labor Code of the Philippines, particularly Articles 297-299, and relevant DOLE regulations. The document is required whether the termination is for just cause, authorized cause, or end of contract, and must include specific elements such as the grounds for termination, effective date, and final pay details. This formal communication serves multiple purposes: it provides clear documentation of the termination decision, ensures legal compliance with Philippine labor laws, protects both employer and employee rights, and helps prevent future disputes. The letter should be drafted with careful attention to both legal requirements and professional courtesy, as it may be scrutinized in legal proceedings if the termination is contested.
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1. Letter Header: Company letterhead, date, and formal addressing of the employee including their full name, position, and department
2. Subject Line: Clear indication that this is a notice of employment termination
3. Opening Statement: Direct statement of the purpose of the letter - notification of employment termination
4. Grounds for Termination: Clear explanation of the specific reason(s) for termination, citing relevant company policies or legal provisions
5. Effective Date: Explicit statement of the last day of employment
6. Final Pay Details: Information about final salary, benefits, and other compensation due
7. Company Property: List of company properties to be returned and the process for doing so
8. Closing Statement: Professional closing that includes contact information for HR-related questions
9. Signature Block: Space for authorized signatory's name, title, and signature
1. Severance Package Details: Include when termination includes a severance package, detailing the components and terms
2. Non-Compete Reminder: Include when employee is bound by existing non-compete agreements
3. Certificate of Employment: Mention of availability and process to obtain certificate of employment
4. Transition Plan: Include when employee needs to handle knowledge transfer or complete pending tasks
5. Exit Interview: Include when company policy requires an exit interview
6. Benefits Continuation: Include details about post-employment benefits if applicable
7. Legal Rights Notice: Include when required by specific circumstances or when termination is due to redundancy/retrenchment
1. Computation of Final Pay: Detailed breakdown of final salary, benefits, deductions, and other monetary considerations
2. Company Property Checklist: Itemized list of company assets to be returned
3. Clearance Form: Standard company clearance form listing all departments that need to sign off
4. Exit Process Checklist: Step-by-step guide of actions required before last day of employment
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Banking and Financial Services
Information Technology
Manufacturing
Retail
Healthcare
Education
Construction
Business Process Outsourcing
Telecommunications
Hospitality
Mining
Agriculture
Transportation
Real Estate
Professional Services
Relevant Teams
Human Resources
Legal
Compliance
Employee Relations
Management
Administration
Corporate Services
Industrial Relations
Relevant Roles
HR Manager
HR Director
Legal Counsel
Department Manager
Line Manager
Supervisor
HR Business Partner
Chief Human Resources Officer
Employee Relations Manager
Legal Manager
Compliance Officer
HR Administrator
HR Specialist
Department Head
General Manager
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